星期一, 1月 25, 2021
Home PV Finance Overcapacity keeps wind turbine prices low

Overcapacity keeps wind turbine prices low

Overcapacity and new low-cost players will keep wind turbine prices low, according to the Bloomberg New Energy Finance Wind Price Index (WTPI).


Wind turbine contracts signed in the second half of 2011 for 2013 delivery fell to €0.91 million per MW, down 4% from 6 months earlier and well off their five-year high of €1.21m/MW in 2009.


Prices dropped most sharply for older wind turbines to €0.85m/MW on average, down 10% from half a year earlier. Newer wind turbine models are more efficient and offer improved capacity factors, however, analysis of contracts covered by the Index shows that even these have seen prices coming down.


China increases competition


Part of the fall in prices is due to Chinese manufacturers competed strongly for wind turbine orders, even in developing markets such as Brazil, Chile, Ecuador, Pakistan, Ethiopia and Australia.


The survey reveals that procurement officers and wind turbine manufactures share a generally negative outlook on prices; most anticipate further moderate declines in wind turbine prices in 2012 and 2013 – they don't expect prices to recover until at least 2014.


A silver-lining for consumers

A significant silver lining, however, is that lower equipment prices make wind more competitive with fossil-fuelled forms of generation.


Michael Liebreich, CEO of Bloomberg New Energy Finance, says: "Short-term pain among wind manufacturers is now undeniable and unavoidable. But the current price slump is good news on the demand side as wind is more competitive with coal and gas on a dollar-per-megawatt hour basis, which is vital given ever-lower levels of subsidy and support. Those manufacturers which can achieve leading cost positions are going to be in a good strategic position when the market enters its next expansionary phase in a few years."


Bloomberg New Energy Finance has previously shown that power generated by new wind farms can achieve costs of US$0.065/kWh – and the median new wind farm could be competitive with coal-based power by 2016.

LEAVE A REPLY

Please enter your comment!
Please enter your name here

- Advertisment -

Most Popular

New Energy Equity adds 326 kW of solar to municipal buildings in Norton Shores, Michigan

New Energy Equity, along with its development partner Chart House Energy, has completed a 326-kWDC solar development project consisting of three separate municipal buildings...

PG&E announces 387 MW/1,548 MWh of energy storage capacity in latest project announcement

Pacific Gas and Electric Company (PG&E) has requested approval from the California Public Utilities Commission (CPUC) for six new battery projects totaling 387 MW...

NEP releases 500-W microinverter for large-format panels

Silicon Valley-based Northern Electric Power Technology (NEP) has released a new 500-W microinverter. The company is calling it a “macroinverter” since it is able...

Solar investment tax credit extended at 26% for two additional years

Story updated Dec. 22 after successful passage of the bill by Congress. Extended renewable energy tax credits have been included in a $1.4 trillion federal...